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The following costs are budgeted for Harlow Corporation for next year: Total variable costs $270,000 Total fixed costs 630,000 Total costs $900,000 The costs above are based on a level of activity of 20,000 units
The following costs are budgeted for Harlow Corporation for next year:
|
Total variable costs |
$270,000 |
|
|
Total fixed costs |
630,000 |
|
|
Total costs |
$900,000 |
The costs above are based on a level of activity of 20,000 units. Assuming that this activity is within the relevant range, what would total cost per unit be for Harlow if the level of activity was only 18,000 units?
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